Best way to put out an offer

[Angel Peng]

I found a quadplex for $390k. It has so much traffic and popularity just 2 hours of being placed on Zillow. This is my first investment property. I will be doing a conventional 20% down. I am willing to go as high as $480k for this place. How should I make this offer? Should I offer starting at asking price with an escalation clause of $3000 higher than the highest bidder until $480k? And I would require that they show the price of the 2nd highest bidder. 

Another offer would be that I start at $420k with the same escalation. 

Or should I just start at $430-450k to begin with. 

I am willing to go as high as $480k but obviously would like to avoid it if I could do it for much lower. 

Thank you all for your expertise. 

[Russell Brazil]

When using an escalation clause, always start at list price.

Your escalation increment needs to be larger. Lets pose an example at your $3,000 increment.

All cash offer escalates up to $425k. They are 2nd best and youve escalated $3k over them to $428k. You are a financed offer.

Which offer will the seller take? Offer A: $425k All Cash closing in 7 days. Or Offer B: $428k Financed closing in 30 Days.

Your escalation increment needs to put enough distance between you and the 2nd best offer to overcome not just the price, but also potentially better terms of the 2nd highest offer.